CONSTRUCTION AR AGING, EXPLAINED.
An AR aging report buckets unpaid invoices by how long they've been outstanding, typically current, 30, 60, and 90-plus days, so a subcontractor can see collection health at a glance. A healthy portfolio has most balances in the current and 30-day buckets; a growing 90-plus bucket signals a collection process that isn't catching drift early enough.
The aging report is one of the simplest documents your books produce and one of the most revealing to read closely. It takes every open invoice, sorts it by days outstanding, and turns a single AR total into a picture of where collection is working and where it's not. Most subcontractors run the report and never read it hard enough to catch the trend while it's still cheap to correct. By the time the 90 plus bucket is big enough to notice in the bank balance, the invoices sitting in it are months old.
WHAT IT MEANS.
An AR aging report is a list of every unpaid invoice sorted into buckets by how long it has been outstanding, typically current, 30, 60, and 90 plus days.
Days Sales Outstanding, DSO, is the single number that summarizes the aging report: on average, how many days does it take to collect an invoice. DSO gives you the direction of travel and the bucket breakdown tells you which invoices are driving it, so the two get read together every month.
WHERE IT GOES WRONG.
"The total AR balance tells us the same thing"
A flat total AR balance can hide a growing 90 plus bucket, because new current invoices replace collected ones at roughly the rate old ones age out. The total holds still while the mix underneath it gets worse. The bucket breakdown is what reveals the trend, and it's the only view that does.
"We pull the aging report once a year at tax time"
An aging report read once a year misses months of drift that a monthly review and a follow up cadence would have caught and corrected. Twelve months of drift is a dozen invoices that each got older than they should have. Monthly is the minimum useful frequency for a report this cheap to produce.
"Some of our AR is old, but it'll get paid eventually"
Invoices in the 90 plus bucket get harder to collect the longer they sit, because memories fade, the project team moves on, and the paperwork trail goes cold. Eventually is the assumption that turns a collectible invoice into a write off. Anything past 90 days needs a decision, not more waiting.
FLAT MONTHLY FEE. NO SURPRISES.
Three tiers, priced by your trailing twelve month revenue. Which one you're in depends on how much of the work you want off your desk. No hourly billing, no payroll, and no add-ons.
| Last 12 months revenue | Monthly fee |
|---|---|
| Up to $1M | $1,900 to $2,900 |
| $1M to $3.5M | $2,600 to $3,900 |
| $3.5M to $6.5M | $3,800 to $5,700 |
| $6.5M to $9.5M | $5,100 to $7,100 |
| $9.5M to $12.5M | $6,100 to $8,500 |
| $12.5M to $15.5M | $7,400 to $11,000 |
| $15.5M to $18.5M | $9,400 to $13,500 |
| $18.5M+ | Quoted individually |
Range reflects the three tiers below. Which one you're in depends on how much of the work you want off your desk. No payroll. No hidden line items.
You stop guessing.
You get the CFO work. Job costing built against the way you estimate, a 13 week cash forecast, monthly WIP, and a meeting every month that ends in decisions rather than a report.
Your bookkeeper keeps doing the books.
You stop touching the books.
Everything in Core, and we run the bookkeeping and the controllership as well. Nobody in your office is answering coding questions or chasing a reconciliation at month end.
We do the books. No payroll.
Every job shows its margin while it's still running.
Everything in Executive, plus the job costing and WIP platform set up, loaded with your cost codes, and managed for you every month. You never have to learn it.
We do the job costing.
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